Correlation Between Odyssean Investment and Apple

Can any of the company-specific risk be diversified away by investing in both Odyssean Investment and Apple at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Odyssean Investment and Apple into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Odyssean Investment Trust and Apple Inc, you can compare the effects of market volatilities on Odyssean Investment and Apple and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Odyssean Investment with a short position of Apple. Check out your portfolio center. Please also check ongoing floating volatility patterns of Odyssean Investment and Apple.

Diversification Opportunities for Odyssean Investment and Apple

-0.29

Correlation Coefficient

Odyssean Investment  Apple

Very good diversification

The 3 months correlation between Odyssean and Apple is -0.29. Overlapping area represents the amount of risk that can be diversified away by holding Odyssean Investment Trust and Apple Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Apple Inc and Odyssean Investment is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Odyssean Investment Trust are associated (or correlated) with Apple. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Apple Inc has no effect on the direction of Odyssean Investment i.e., Odyssean Investment and Apple go up and down completely randomly.

Pair Corralation between Odyssean Investment and Apple

Assuming the 90 days horizon Odyssean Investment Trust is expected to generate 1.05 times more return on investment than Apple. However, Odyssean Investment is 1.05 times more volatile than Apple Inc. It trades about 0.24 of its potential returns per unit of risk. Apple Inc is currently generating about 0.01 per unit of risk. If you would invest  144.00  in Odyssean Investment Trust on April 24, 2025 and sell it today you would earn a total of  39.00  from holding Odyssean Investment Trust or generate 27.08% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Odyssean Investment Trust  vs.  Apple Inc

Odyssean Investment Trust

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Odyssean Investment Trust are ranked lower than 18 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, Odyssean Investment reported solid returns over the last few months and may actually be approaching a breakup point.

Apple Inc

Risk-Adjusted Performance

Very Weak

Over the last 90 days Apple Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, Apple is not utilizing all of its potentials. The current stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with Odyssean Investment and Apple

The main advantage of trading using opposite Odyssean Investment and Apple positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Odyssean Investment position performs unexpectedly, Apple can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Apple will offset losses from the drop in Apple's long position.

The idea behind Odyssean Investment Trust and Apple Inc pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Share Portfolio module to track or share privately all of your investments from the convenience of any device.